Little growth in iPhone sales in 2024 despite a big recovery in the smartphone market

Apple saw little growth in iPhone sales in 2024 despite a significant recovery in the global smartphone market, according to new data released by IDC.

Global smartphone shipments rose 6.2% to 1.24 billion units, but iPhone shipments rose just 0.4% over the same period.

The underperformance underscores Apple’s challenges in key markets such as China, where domestic rivals are gaining ground through lower prices and technological innovation. Chinese manufacturers like Xiaomi and Huawei are investing heavily in hardware and software development as well as custom processor designs, with Huawei recently launching its new Mate 70 phone with its own chipset.

Elsewhere, Android device makers collectively led the market recovery, achieving growth of 7.6% driven primarily by strong performance in emerging markets across Asia Pacific, Latin America, the Middle East and Africa. These manufacturers seem to have succeeded by offering more affordable devices, with an average selling price of $295 compared to Apple’s premium iPhone positioning of over $1,000.

Despite slower growth, Apple maintained its position as the industry’s profit leader through strategic pricing. According to IDC, Apple’s outlook may improve in 2025, forecasting 3.1% growth for iOS devices compared to 1.7% for Android smartphones.

Overall, the recovery in the broader smartphone market was driven by pent-up demand for device upgrades in regions with lower smartphone penetration. However, IDC analysts noted that even widely available features such as genetic AI have not significantly impacted consumer demand or early upgrade growth, which does not bode well for Apple Intelligence’s impact on iPhone sales until 2025.

Source: techblog.gr